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Statistics Estonia: Layoffs on the rise

Layoffs were most numerous in the processing industry in November.
Layoffs were most numerous in the processing industry in November. Source: Jevgenia Parv/Jõhvi Municipality Government

Estonian employers laid off 3,500 people in October and November, which Statistics Estonia suggests is more than last fall.

Flash labor market statistics suggest fewer new employment relationships were registered in November than during the same month in 2021 and 2022. But the number of terminated labor relations also falls short of recent years.

Layoffs made up over 5 percent of concluded employment relationships in November, which is quite a lot compared to less than 3 percent in the first half of 2022.

1,800 layoffs were registered in November, up from 1,700 in October this year. While June saw even more positions made redundant at over 2,000, the November and October figures exceeded those for the same period in 2022.

Layoffs were most numerous in the processing industry at over 650, including more than 150 cases in the timber industry and around 100 in metal products. But it needs to be kept in mind that the processing industry is also Estonia's largest employer in absolute terms, Statistics Estonia said.

Commerce comes next with 200 layoffs, while roughly the same number of positions were made redundant in construction. 150 jobs were cut in transport and warehousing.

But the accommodation and catering sector seems to be bouncing back from the Covid crisis where the total number of employment relationships has grown by 4 percent on year. The number of people employed in food and drink businesses misses the pre-crisis peak of 2019 by around one thousand jobs, while accommodation providers are short 500 jobs compared to before the coronavirus.

Statistics Estonia warns, however, that accommodation providers should remain vigilant as the number of tourists fell in October compared to the same period last year.

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Editor: Mirjam Mäekivi

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